The firm started offering domestic investments in an emerging market. In 2020, almost three decades of organic growth later, the firm de-merged from Investec Group on 16 March 2020 and became Ninety One.
Commenting on the change, the company said: “We started in South Africa, in ’91, as Investec Asset Management, with a belief that we could do things differently.
“Back then, change was coming and along with its challenges came the chance to invest in a better future.
“Today, we continue to bring a different perspective on investing. Whether it’s the rise of the East or the rise of the machines, we aim to make the best of it. Best for our clients, best for our company, and best for the world in which we live.”
From 23 April 2020, all funds will see ‘Investec’ replaced by ‘Ninety One’. For example, Investec Global Special Situations, which is on the Chelsea Selection, will become Ninety One Global Special Situations.
Have you ever found yourself confused about whether Investec and Ninety One are the same company? You’re not alone! This question pops up frequently in financial circles, and today I’m gonna break down everything you need to know about these two distinct yet historically connected financial institutions.
The Quick Answer
No, Investec and Ninety One are NOT the same company anymore. While they were once part of the same organization they officially separated in March 2020 through a demerger. Ninety One was formerly known as Investec Asset Management before becoming an independent dual-listed company.
The Origin Story: How Ninety One Emerged from Investec
Back in 1991, Investec Asset Management was formed as a division of the larger Investec financial services group. For nearly three decades, it operated under the Investec umbrella, building its reputation in the asset management world.
The name “Ninety One” actually has significant meaning – it directly references the year 1991 when the business was first established in South Africa. The company chose this name to honor its heritage and origins when it rebranded in 2020.
The Demerger Timeline
Let me walk you through how this separation unfolded
- Late 2019: Investec announced plans to demerge its asset management business
- November 2019: The new name “Ninety One” was revealed for the soon-to-be independent asset manager
- March 2020: The demerger was completed amid challenging market conditions (more on this later!)
- March 16, 2020: Ninety One began trading as an independent company on both the London and Johannesburg stock exchanges
Why Did They Separate?
You might wonder why these companies decided to part ways. From what I understand, the demerger was a strategic move allowing both businesses to:
- Focus on their core competencies
- Pursue independent growth strategies
- Have more flexibility in their respective markets
- Potentially unlock more value for shareholders
The separation wasn’t due to any problems between the businesses – rather, it represented a natural evolution for two successful but increasingly distinct operations.
Key Differences Between Investec and Ninety One Today
Now that we know they’re separate companies let’s look at how they differ
| Aspect | Ninety One | Investec |
|---|---|---|
| Core Business | Pure-play asset management | Broader financial services (banking, wealth management) |
| Listings | Dual-listed (LSE & JSE) | Dual-listed (LSE & JSE) |
| Founded | 1991 (as Investec AM) | 1974 |
| Headquarters | London, UK & Cape Town, South Africa | London, UK & Johannesburg, South Africa |
| Business Focus | Managing investments for clients | Banking, wealth management, and other financial services |
Inside Ninety One: A Closer Look
Since becoming independent, Ninety One has established itself as a significant player in the global asset management industry. As of 2024, the company had some impressive stats:
- £126.0 billion in assets under management (AUM)
- £588.5 million in revenue
- £202.6 million in operating income
- £163.9 million in net income
Ninety One is also a constituent of the FTSE 250 index, highlighting its importance in the UK market.
Recent Developments at Ninety One
Ninety One hasn’t been sitting still since the demerger. Some notable recent moves include:
- October 2024: Launched a Sovereign Biodiversity Index, providing investors with a quantitative method to assess nature and biodiversity risks at national levels
- March 2025: Formed a significant partnership with Sanlam, taking ownership of Sanlam Investment Management (SIM) and responsibility for Sanlam Investments UK’s portfolio
- This Sanlam deal will transfer around R400 billion in assets to Ninety One, with approximately 80% managed in South Africa
The Demerger Details: A Bumpy Road
The separation of these companies wasn’t without its challenges. Originally, Investec had planned to offer 10% of Ninety One stock to the public while retaining 15% ownership. However, market conditions (remember, this was happening right as COVID-19 was beginning to rock global markets) led to a change in plans.
Ultimately, Investec decided to retain 25% ownership of Ninety One rather than just 15% as initially planned. This cautious approach made sense given the extreme market volatility at the time.
What Does This Mean for Investors?
If you’re considering investing in either company, it’s important to recognize they now represent different investment propositions:
- Ninety One offers exposure to a pure-play asset management business with a global footprint and significant presence in emerging markets
- Investec provides investment in a diversified financial services group with banking and wealth management operations
As an investor myself, I’ve noticed that many folks still confuse these two, which can lead to misunderstandings about what they’re actually putting their money into.
Client Perspective: What If You Have Accounts or Investments?
If you’re a client of either organization, here’s what you should know:
- If you had investments managed by Investec Asset Management before the demerger, those would have transitioned to being managed by Ninety One
- The change was largely administrative – your actual investments weren’t automatically sold or restructured
- Investec banking, wealth management, and other services remained with Investec
- Client communications should have explained these changes when they occurred in 2020
The Branding Transition
One thing I find particularly interesting is how the company handled the rebranding from Investec Asset Management to Ninety One. Changing a company’s name and identity after nearly 30 years is no small feat!
The new name reflects the company’s founding year (1991) and its South African heritage. This connection to its roots was important to the company’s identity even as it established itself as an independent global player.
Common Misconceptions Cleared Up
Let me address some frequent misunderstandings I’ve encountered:
“Ninety One is a subsidiary of Investec”
INCORRECT. While Investec retained a minority stake after the demerger, Ninety One operates as a completely independent company with its own management team and board.
“Investec sold its asset management division”
NOT EXACTLY. Rather than selling it, Investec demerged the business, making it a separate entity and distributing shares to existing Investec shareholders.
“The name change means it’s a completely new company”
MISLEADING. While the name changed from Investec Asset Management to Ninety One, it’s the same business with the same operational history – just under new branding and independence.
Leadership and Corporate Structure
After the demerger, Ninety One maintained continuity in its leadership team:
- Hendrik du Toit: CEO (who was previously joint-CEO of Investec Group)
- Gareth Penny: Chairman
- The company continued with its dual-listing structure, trading on both the London Stock Exchange (LSE) and Johannesburg Stock Exchange (JSE)
This leadership continuity helped ensure a smooth transition for clients and employees alike.
The Global Footprint of Ninety One
As an independent company, Ninety One maintains a significant global presence. With headquarters in London and Cape Town, the firm operates across multiple international markets.
The company has a particularly strong heritage in emerging markets investment, which differentiates it from many competitors. This specialization stems from its South African origins and has remained a key part of its investment philosophy.
Recent Financial Performance
Since becoming independent, Ninety One has demonstrated solid performance despite challenging global market conditions. As of 2024, the company’s financial results showed:
- Strong revenue generation (£588.5 million)
- Healthy profitability margins
- Consistent growth in assets under management
- Inclusion in the prestigious FTSE 250 index
The Significance of the Sanlam Deal
The 2025 partnership with Sanlam represents a major milestone for Ninety One. Through this arrangement:
- Ninety One is taking ownership of Sanlam Investment Management
- The company will assume responsibility for Sanlam Investments UK’s portfolio
- Around R400 billion in assets will transfer to Ninety One
- Approximately 80% of these assets will be managed in South Africa
This deal significantly enhances Ninety One’s position in the South African market while giving the firm preferred access to Sanlam’s extensive distribution network.
Looking to the Future
As separate entities, both Investec and Ninety One are now free to pursue their individual strategic priorities:
- Ninety One appears focused on expanding its asset management capabilities and global reach, as evidenced by the Sanlam deal and the launch of innovative products like the Sovereign Biodiversity Index
- Investec continues to develop its banking and wealth management services, operating with greater focus on its core competencies
To wrap things up – no, Investec and Ninety One are definitely not the same company anymore. They separated in March 2020, though they share a common history and heritage. Ninety One was born from Investec’s asset management division and has since established itself as an independent, dual-listed financial services company focused exclusively on asset management.
The name “Ninety One” itself serves as a constant reminder of the company’s origins within Investec, having been founded in 1991. While they’ve gone their separate ways corporately, this historical connection remains an important part of both companies’ stories.
So there you have it! Next time someone asks you if Investec and Ninety One are the same company, you can confidently explain their relationship and how they evolved from one organization into two distinct financial services players.
Have you had experience with either Investec or Ninety One? I’d love to hear your thoughts or experiences with either company!
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FAQ
Is Ninety One part of Investec?
History. The company was formed as Investec Asset Management in 1991. It changed its name to Ninety One in spring 2020: the new name is in recognition of the brand’s heritage, as it was in 1991 that the investment firm was started in South Africa.
Is 91 part of Investec?
Investec Asset Management started in South Africa in 1991, which was a year of transformative change in our country and abroad. With these positive changes came the chance to invest in a brighter future. The new name Ninety One recognises the momentous time in which Investec Asset Management started.
Who is the owner of Ninety One?
Hendrik is the founder and Chief Executive Officer of Ninety One.
What company is Ninety One under?
Established in South Africa in 1991, as Investec Asset Management, it started with domestic investments in an emerging market. In 2020, almost three decades of organic growth later, the firm demerged from Investec Group and became Ninety One.